New BritainPalm Oil Ltd2012

1

Interim Resultsto 30 June 2012

August 2012

2

Introduction

• Challenging Period

• Profitability compared to previous period impacted by coinciding events:

- high rainfall leading to issues collecting fruit

- higher water content and therefore lower extraction rates

- appreciation of local currency

- reduction in global crude palm oil / palm kernel oil prices

- delay in sugar harvesting

• Previous period (6 months to June 2011) was exceptional for the Group

• Group’s capital structure remains stable, with conservative, and long term borrowings

• Interim dividend remains unchanged at USD ¢15 / share

• Continued key capex programme

• Cost optimisation and efficiency review underway

3

Interim Results

Six months ended 30 June 2012 2011FFB processed (tonnes) 1,223,179 1,295,230

CPO / PKO produced (tonnes) 291,728 318,166

Average CPO price achieved ($ / tonne) $1,100 $1,122

Average PKO price achieved ($ / tonne) $1,476 $2,096

Six months ended 30 June 2012 2011Revenue ($m) 366.1 403.9

Profit before tax* ($m) 63.6 158.7

Earnings per share* (US ¢) 29.5 77.8

*Excluding IAS 41

4

Bridge From 2011 to 2012 Interim Period

Note. Management preparation of indicative overview of variance only, not related to statutory results

30  

50  

70  

90  

110  

130  

150  

170  20

11  in

terim

 

CPO  vol  

FX  im

pact  on  PG

K  co

st  

PKO  price

s  

Suga

r  Co

S  

Dispo

sal  o

f  JV  

inte

rest  

FX  gains

 

CPO  price

s  

Refin

ed  oils

 price

s  

Freigh

t  cos

ts  

Oth

er  palm

 pro

d.  cos

ts  

PK  price

s  

PKO  vol  

FerI

liser

 cos

ts  

Refin

ed  oils

 vol  

Net

 fina

nce  co

sts  

PK  vol  

CaKle  

Live

rpoo

l  

Seed

s  

Suga

r  sa

les  

FFB  pu

rcha

ses  

2012

 inte

rim

 

170

150

130

110

90

70

50

30

2011

inte

rim

CP

O v

ol

FX im

pact

on

PG

K c

ost

PK

O p

rices

Sug

ar C

oS

Dis

posa

l of J

V in

tere

st

FX g

ains

CP

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rices

Refi

ned

oils

pric

es

Frei

ght c

osts

Oth

er p

alm

pro

d. c

osts

PK

pric

es

PK

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ol

Ferti

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Refi

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Net

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nce

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PK

vol

Cat

tle

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See

ds

Sug

ar s

ales

FFB

pur

chas

es

201

2 in

terim

Essentially a fixed cost business, reduction in CPO volume due to weather and collection issues, had the biggest impact on PBT – responsible for 34% of the reduction of PBT from 2012 to 2011

FX appreciation of the PGK increased local USD costs

PKO prices dropped $620 / tonne year on year

$8.9m one-off contribution from sale of PT Dami Mas in 2011

FFB purchases from smallholders at lower prices, delivered additional $12.6m

Seeds delivered 2.2m higher year-on-year sales

2010

inte

rim

PBT$’000s

5

Location

• c.78,000 hectares of managed oil palm plantations

• An additional c.42,000 hectares cultivated by smallholders

PAPUA NEW GUINEA

NEW BRITAIN

NEW IRELAND

SOLOMONISLANDS

AUSTRALIA

•Kimbe

Main area of NBPOL operation36,095 hectares oil palm

Lae•

RAIL- acquired in Oct 200811,000 hectares oil palm7,731 hectares sugar cane8,888 hectares pasture

•

KPOL, Milne Bay- acquired in April 201010,905 hectares oil palm

•

KPOL, Higaturu- acquired in April 20107,885 hectares oil palm

•

GPPOL- acquired in April 20056,174 hectares oil palm

KPOL, Poliamba- acquired in April 20105,459 hectares oil palm

•

New Britain OilsCommissioned in March 2010, the first fully segregated and traceable sustainable palm oil refinery in the UK, new bakery fats plant now operational

Orangerie Bay Plantations- aquired in July 2012c.5,351 hectares to be planted with oil palm

6

Balance Sheet

0

50

100

150

200

250

300

Short term working capital facilities

RAILLong term facility - non-amortising

Long term facility - amortising

US$m2012 cash position at 30 June 232011 EBITDA (full year) 3372012 EBITDA to 30 June 100EBITDA trailing 12 months (to 30 June 2012) 249

2011 - net debt / EBITDA 0.54xTrailing 12 month-full year net debt / EBITDA 1.3x

$mCurrent Debt Position

US$ 303.4m

7

Performance NBPOL share price, CPO, PKO

1200

1000

800

600

400

200

0

3000

2,500

2,000

1,500

1,000

500

0J-06 A-06 J-06 O-06 J-07 A-07 J-07 O-07 J-08 A-08 J-08 O-08 J-09 A-09 J-09 O-09 J-10 A-10 J-10 O-10 J-11 A-11 J-11 O-11 J-12 A-12 J-12 O-12

CPO CIF Rdm (US$/MT)

PKO CIF Rdm (US$/MT)

NBPOL share price (GBp)

CP

O /

PK

O $

/ M

T

NB

PO

L sh

are

pric

e (G

Bp)

8

Global Edible Vegetable Oil Market

14

13

12

11

10

9

8

7

6

1989

/199

019

90/1

991

1991

/199

219

92/1

993

1993

/199

419

94/1

995

1995

/199

619

96/1

997

1997

/199

819

98/1

999

1999

/200

020

00/2

001

2001

/200

220

02/2

003

2003

/200

420

04/2

005

2005

/200

620

06/2

007

2007

/200

820

08/2

009

2009

/201

020

10/2

011

2011

/201

2

Edible Oils - World Stocks:Usage Ratio (%)

Source: USDA

• Edible oils stocks:usage ratio continues to fall...

• ...soy oil, palm oil spread relatively wide (c.$200, up from c.$10 in April 2012)

%

2012

/201

3

9

Historical Operational Indicators

Growth in Group Fresh Fruit Bunch (FFB) volume

Growth in Palm Oil Produced

Tonn

es

Growth in Oil Palm Plantations

30,000

35,000

0

15,000

20,000

25,000

2004 2006

Hec

tare

s

2005 2007

10,000

5,000

40,000

45,000

2008

55,000

60,000

50,000

65,000

70,000

2009 2010

CAGR:17.5%

75,000

2011

80,000

85,000

Tonn

es F

FB

2004 20062005 2007 2008 2009 2010 2011

2004 20062005 20082007 2009 20100

2011

200,000

240,000

80,000

120,000

160,000

40,000

280,000

320,000

360,000

400,000

440,000

CAGR: 16.3%480,000

520,000

560,000

600,000

1,400,0001,500,000

1,100,0001,200,0001,300,000

1,000,000

1,600,000

800,000

1,800,000

2,000,000

CAGR: 15.0%

1,900,000

1,700,000

900,000

2,100,0002,200,0002,300,0002,400,0002,500,000

10

Palm Oil

• A vegetable oil used extensively in Asian and EU food markets and personal healthcare products• The most productive vegetable oil• High barriers to entry: significant capex requirement and logistic support plus 3 - 4 years for a new plantation

to yield fruit• High competition for suitable land

Source: USDA

Crop composition of land used globally to produce vegetable oils

Composition of global vegetable oil production

Soya

Sunseed

Rape

Palm 37%

16%11%

36%

62%17%

15%6%

NBPOL Example Customers

• Ferrero• Jordans• Wilmar• United Biscuits• c.90% of NBPOL’s output is sold into the EU in

US$ contracts Globally achieved Oil yield (tonnes / Ha)0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5

Palm Oil (World Average)

Rape

Sun

Soya Source: USDA/NBPOL5.0 5.5 6.0

Palm Oil (NBPOL)

6.5

Indicative oil yields

11

NBPOL Today

Revenue contribution

Plantations • Land bank c.134,500 ha• 77,518 hectares under NBPOL cultivation

with respect to oil palm• More than 42,000 mature hectares cultivated

by smallholders supplying NBPOL

Milling and Refining• 12 oil mills in Group• 2 refineries• Special fractionation plant completed for

Ferrero• World’s first dedicated sustainable bakery

ingredients and food service packing operation in UK

Infrastructure• c.80,000 tonnes / oil storage capacity• Trucking transport fleet• Housing• Two new methane capture facilities

completed• Export terminals

• Highly respected plant breeding research and development

• Important for success of wider business

• Growing customer base around the world

• NBPOL is one of the world’s largest private seed producers

• 9,282 hectares of cattle grazing land• Integrated with the palm oil plantation• Important for the protein constrained

local community• >22,000 head of cattle

RAIL• 1 sugar mill• 1 ethanol plant• 7,731 hectares sugar cane

Palm Oil Sales

Seed Sales

Cattle Production

Sugar sales

12

New Britain Oils

• Complete and operational

• Running ahead of internal utilisation targets

• World’s first dedicated sustainable bakery foodstuffs production facility now open

• Key contracts with well known UK and EU brands

• New deodoriser on schedule for end June 2013 - to double capacity

• Captures greater margin share for NBPOL

• First palm oil refinery in the EU to have a fully segregated and sustainable supply chain

• The first palm oil provider able to guarantee fully traceable, sustainable palm oil direct from the plantation to the EU consumer

Bulk Customers Packed Customers

No. of CustomersLiverpool Refinery Capacity Utilisation

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

50

45

40

35

30

25

20

15

10

5

0

May

’10 Jul

Jul

MayMar

Sep

Sep

Nov

Nov

Jan’1

1

Jan’1

2 Jul

MayMar

May

’10 Jul

Jul

MayMar

Sep

Sep

Nov

Nov

Jan’1

1

Jan’1

2 Jul

MayMar

13

Corporate Events

• NBPOL’s first LTIP was approved by shareholders in May 2012

- Setting performance criteria for management and key staff

• Acquisition of remaining 20% of KPOL by issuance of new NBPOL shares in April 2012

• Acquisition of Orangerie Bay Plantation Limited for $4.4m in cash in July 2012, giving NBPOL potentially up to c.11,000 hectares of new land for oil palm planting

14

Outlook

• 138,000 tonnes CPO sold into remainder of 2012 at $1,084 / tonne

• Following improved weather conditions, expectation to see return to more normalised FFB collection:

- although extraction rates are likely to remain lower than normal for the remainder of 2012

• Expecting to return to more normalised production and extraction in 2013

• Embarking on cost saving initiatives to address impact of stronger currency on margins

• Expecting easing of key operational costs (freight, fertiliser, and fuel)

• New kernel crushing plants will increase oil volume

• These initiatives aim to reduce unit cash cost of production and improve margins

• Continue to source attractively priced assets

15

Sustainability

• All long standing NBPOL estates and supply chain certified as fully sustainable and traceable

• Firm commitment to have all new units and supply chains certified as fully sustainable and traceable by the end of 2012

• NBPOL has been instrumental in developing the Roundtable on Sustainable Palm Oil (www.RSPO.org)

• The RSPO has over 300 members including WWF, the Zoological Society of London and Oxfam

• NBPOL has control over its harvesting, milling, transportation, shipping and now refining, it can trace individual shipments back to source

• With the UK refinery it has a unique fully sustainable and traceable supply chain to the EU

16

• The information contained in this document is for information only. No representations or warranties, express or implied, are given by the Company or any person connected with the Company as to the fairness, accuracy or completeness of the information or opinions contained in this document, any presentation made in conjunction herewith or the accompanying materials and no liability is accepted in respect thereof, to the extent permitted by law.

• To the fullest extent permitted by law, none of the Company, Akur or any other party or any of their respective subsidiary undertakings or affiliates or any of such person’s officers or employees, advisors or other representatives, accepts any liability whatsoever (whether in negligence or otherwise) arising directly or indirectly from the use of this document.

• This document is being furnished to you on a confidential basis and may not be disclosed, reproduced or redistributed, in whole or in part, by any medium or in any form to any other person for any purpose without the Company’s prior written consent. You shall treat and safeguard as strictly private and confidential all information contained in this document and take all reasonable steps to preserve such confidentiality. You shall not use this document or the information contained therein in any manner detrimental to the Company.

• This document has been prepared for information purposes only and should not be relied upon, or form the basis for any decision or action, by any person.

• This document contains forward-looking statements that involve substantial risks and uncertainties and actual results and development may differ materially from those expressed or implied by these statements by a variety of factors.

• By accepting this document and attending the presentation you agree to be bound by the foregoing limitations.

August 2012

Disclaimer

www.nbpol.com.pg

Phone: +44 (0)20 7472 5936

New BritainPalm Oil Ltd2012